US tower operator SBA Communications has priced a new offering of 4.875% senior notes due 2022 at 99.178.
The private offering was initially aiming to raise US$600m, but that number was increased following strong investor appetite.
SBA will use the…
US tower operator SBA Communications has priced a new offering of 4.875% senior notes due 2022 at 99.178.
The private offering was initially aiming to raise US$600m, but that number was increased following strong investor appetite.
SBA will use the proceeds to buy back its 8.25% notes due 2019 and pay the conversion obligations on its US$121m of 4% convertible senior notes due 2014.
The remaining proceeds will be used for general corporate purposes. This will manifest in an early unwind of a portion of SBA’s outstanding warrants underlying the 4% notes for cash, and paying part of the principal amount outstanding on its 4% notes in cash upon their conversion.
The towerco last raised debt in February. It raised US$1.5bn from a seven-year senior secured term loan to retire existing tranche B term loans, pay down existing balances on its revolver, and part-fund its US$644m acquisition of more than 2,000 towers from Brazilian operator Oi.
SBA operates out of Boca Raton, Florida and has tower assets across the Americas. It owns 15,000 towers in the US and its territories, 5,200 in Brazil, and a further 2,000 split between Canada, Costa Rica, El Salvador, Guatemala, Nicaragua and Panama.
